Price comparison

[Mafesto]

It happens this time every year, we are curious as to how much we will have to pay for our dream sled. Not msrp, but how much we will actually pay. So we post prices quoted, from east coast to west coast and everywhere in between.
I would urge all of us to keep a few things in mind.
Dealers (like every one else) are influenced by different motivating factors.
Many agree to accept more inventory than their selling area will realistically purchase. Their business plan from the very beginning is to market product outside of the area that they can realistically service.
They can sell on a very slim margin because they will not have to dedicate any resources to maintain their customers ownership experience.
These s#itheads is the reason we are seeing smaller local dealerships disappear.
Here in SD I regularly see out of state dealerships hundreds of miles away advertising stupid low prices.
In sales, if you cannot offer better service, you must lure in customers with lower prices. Pretty sad and embarrassing when that is their business plan from the get go.

Don't misunderstand me, there are many GREAT large dealerships with great service. It's up to us as consumers to recognize where we are buying and support the dealers who will be there to keep us on the snow.

Thanks for reading my long-winded rant!

 

[89sandman]

I hear dealers on here all the time saying they don't make any money selling sleds they make it all on warranty work? So wouldn't they want as many people in their area to buy a sled no matter where they got it? Or maybe they make a little more than they want to admit. No business in the world would survive selling a 13-15k product and only making a few hundred dollars on the deal, or maybe they don't count the end of year bonuses and discounts as part of the sale. Don't see too many dealers driving 20 year old trucks and hauling their sleds in old trailers, seems they always have enough cash to buy the newest stuff. Must be some secret they know that the rest of us business owners don't...

You can sell cheap and make it up in volume or offer a better service and build a loyal cutomer base that is willing to pay you a little more knowing they are going to get treated better down the road. There will always be people looking for the cheapest deal and always some looking for something better. You just have to decide which is the customer you're looking to attract and continue on from there.

 

[Mafesto]

I hear dealers on here all the time saying they don't make any money selling sleds they make it all on warranty work?

Can't say I've ever heard dealers say something that stupid.

In fact I know of one that figures shop time at flat rate times 1.5 which is probably about right.


Furthermore, the important point is how long your waiting line is for any service needs.

 

[mtncat1]

i have a friend that has a dealer ship and hld told me that they were only making 3 or 4 hundred off each sled , but that was a few years ago when prices weren't quite so high as they are today. i know this wouldn't be true today especially at list prices . but from what i have saw most people don't pay list price. it is true that service, parts and accessories are sold at fuel price so definitely a better profit margin there. no dealer can sell below cost and make it up in volume period.

 

[ullose272]

I hear dealers on here all the time saying they don't make any money selling sleds they make it all on warranty work? So wouldn't they want as many people in their area to buy a sled no matter where they got it? Or maybe they make a little more than they want to admit. No business in the world would survive selling a 13-15k product and only making a few hundred dollars on the deal, or maybe they don't count the end of year bonuses and discounts as part of the sale. Don't see too many dealers driving 20 year old trucks and hauling their sleds in old trailers, seems they always have enough cash to buy the newest stuff. Must be some secret they know that the rest of us business owners don't...

You can sell cheap and make it up in volume or offer a better service and build a loyal cutomer base that is willing to pay you a little more knowing they are going to get treated better down the road. There will always be people looking for the cheapest deal and always some looking for something better. You just have to decide which is the customer you're looking to attract and continue on from there.

I used to work at a local auto dealer, pretty big one, the sales side rarely made a profit, it was the warrenty work and normal customer repair work that all the profit came from. Their business model was sell as many cars as they could for dirt cheap and the repair work would flood in. And it worked. I was always busy as a technician and they paid well.

Sent from my SM-G930V using Tapatalk

 

[bryceraisanen]

I stopped by the local dealer last week to pickup some parts. Accidentally caught myself eyeballing a new 2017. Salesman told me I can have it for $9700 +ttl. I asked if that comes with any accessories. He said "Sorry bud can't throw anything in when we're losing money on the sale to begin with."

I been hearing that bs line for years lol! Maybe they break even or its slim, but they ain't losing. However, the HARVEST on the parts sales! Good friend of mine is high level engineer at Poo, he said they markup parts at minimum 3x their cost.

I don't remember 100% certain but I swear he said the 1115 belt costs Poo like $49 and they sell it for like $215.

They also do well in the service department. $20-30/hour mechanics that bill out for $100. Duh. Imo, service/parts departments make/break a dealership. Sales is a nonfactor.

 

[capulin overdrive]

As mentioned, the money is in service and over priced parts.




Some dealers are smart enough to give you a good deal and gain you as loyal customer, some are not.




So, guess I'm saying. Give me a good deal on a sled and I'm more likely to use you for service and buy your over priced gloves and oil.

 

[Mafesto]

I didn't start this thread to debate which departments generate what percentage of dealership profits.
I simply wanted to illustrate the importance of supporting your local dealerships.

Before you try to argue that your local dealer likes it when you by a sled 200 miles away and expect promp warranty and updates service from him, you may want to actually ask him.

 

[mtncat1]

i understand what you are saying but from a business stand point. in the 25 years i worked on vehicles in a dealership we didn't care where they came from just so long as we had plenty of work coming in . now if a dealership was under staffed and had so much work that they couldn't get to their own customers sleds i can see how that could be a problem . i'd rather have some of a customers business even if i couldn't have it all.

 

[Mafesto]

But why wouldn't you want to buy from your local dealer?

 

[mtncat1]

i personally would want to but alot of people don't . but from a dealer standpoint it's just not that big of deal . selling sleds in a dealership is important but not as much for profits but for perks from manufactures , you can loose buyer discounts and even your franchise . so its good to buy local , plus with the margins on new sleds the advantage isn't that great . closeout and year end deals being the exceptions. but these deals are heavily reliant on discounts from the manufactures .

 

[Mafesto]

This is getting deeper into it than I really wanted to, but here's the thing.
It's common knowledge that the manufacturers force most dealers to order more sleds than they can sell while maintaining a reasonable margin. OK, "force"isn't the best word, let's say if a dealer orders a number smaller than what the manufacturer suggests, he is at a financial disadvantage from the start.
So the dealer accepts the number from the manufacturer knowing that without a banner snow year, the last 30% will need to be sold with little to no profit. These are the hardest sleds to sell and very costly to carry over.
THAT'S WHY IT'S IMPORTANT TO BUY LOCAL! Ever sled counts!

My suggestion is simply to be loyal to your dealer and they in turn should be loyal to you with top service, it's a two way street.

 

[Jaynelson]

I stopped by the local dealer last week to pickup some parts. Accidentally caught myself eyeballing a new 2017. Salesman told me I can have it for $9700 +ttl. I asked if that comes with any accessories. He said "Sorry bud can't throw anything in when we're losing money on the sale to begin with."

I been hearing that bs line for years lol! Maybe they break even or its slim, but they ain't losing.

Wanna bet?

 

[vins18]

25pros

By the way, here is the good prices for the contractor services https://25pros.com/price/construction_works/

 

[AZ800]

^^. Say whaaat??